Menu
26/07/2012
NIE Faces Downgrading Over Price Hike Row
Northern Ireland Electricity's credit rating is at risk of being downgraded, the BBC has reported.
Ratings agencies Fitch and Standard and Poors have issued a warning to investors that NIE is a risky investment.
It comes after a disagreement with the utility regulator over his refusal to allow an increase in electricity prices.
NIE has pushed for a price hike, saying power lines and poles on the supply grid need upgrading.
Managing director Joe O'Mahony said much of Northern Ireland’s rural electricity dates back to the 1970s and 1980s.
He said: "We believe strongly that the utility regulator's final proposals for the next five years should allow NIE to efficiently finance the modernisation of Northern Ireland's ageing electricity infrastructure to improve its future reliability, support economic development and facilitate the NI Assembly's renewable energy targets."
Utility regulator Shane Lynch said his task was to balance NIE's needs with the needs of customers to pay "a reasonable price, but no more than that".
Mr Lynch said levels of fuel poverty here had reached "almost 50%" and he had a responsibility to protect customers.
He claimed it was "not untypical for a rating agency to put a company on rating watch negative" during an uncertain price control period and pointed out that Fitch had done the same to other companies in Great Britain.
(NE)
Ratings agencies Fitch and Standard and Poors have issued a warning to investors that NIE is a risky investment.
It comes after a disagreement with the utility regulator over his refusal to allow an increase in electricity prices.
NIE has pushed for a price hike, saying power lines and poles on the supply grid need upgrading.
Managing director Joe O'Mahony said much of Northern Ireland’s rural electricity dates back to the 1970s and 1980s.
He said: "We believe strongly that the utility regulator's final proposals for the next five years should allow NIE to efficiently finance the modernisation of Northern Ireland's ageing electricity infrastructure to improve its future reliability, support economic development and facilitate the NI Assembly's renewable energy targets."
Utility regulator Shane Lynch said his task was to balance NIE's needs with the needs of customers to pay "a reasonable price, but no more than that".
Mr Lynch said levels of fuel poverty here had reached "almost 50%" and he had a responsibility to protect customers.
He claimed it was "not untypical for a rating agency to put a company on rating watch negative" during an uncertain price control period and pointed out that Fitch had done the same to other companies in Great Britain.
(NE)
Related Northern Ireland News Stories
Click here for the latest headlines.
05 July 2002
NIE and Ofreg agree further price reductions
Northern Ireland Electricity (NIE) and Ofreg (the Northern Ireland electricity regulator) have reached an agreement on NIE’s Transmission and Distribution Price Control.
NIE and Ofreg agree further price reductions
Northern Ireland Electricity (NIE) and Ofreg (the Northern Ireland electricity regulator) have reached an agreement on NIE’s Transmission and Distribution Price Control.
10 May 2002
NIE and Ofreg engage in charged debate
Northern Ireland Electricity (NIE) has asked the electricity regulator, Ofreg, to revise the initial proposals for its regulatory review of NIE's Transmission and Distribution operations. The Electricity Regulator wants to see bills fall by £27 a year for the average household. However, NIE has warned that 300 jobs could be lost under the plans.
NIE and Ofreg engage in charged debate
Northern Ireland Electricity (NIE) has asked the electricity regulator, Ofreg, to revise the initial proposals for its regulatory review of NIE's Transmission and Distribution operations. The Electricity Regulator wants to see bills fall by £27 a year for the average household. However, NIE has warned that 300 jobs could be lost under the plans.
03 April 2023
Energy Price Changes Advice Issued By Consumer Council
The Consumer Council has issued new advice for local consumers as energy price changes begin to come into effect. Electric Ireland, Power NI, Budget Energy and firmus energy have recently announced changes to their tariffs.
Energy Price Changes Advice Issued By Consumer Council
The Consumer Council has issued new advice for local consumers as energy price changes begin to come into effect. Electric Ireland, Power NI, Budget Energy and firmus energy have recently announced changes to their tariffs.
04 October 2022
'Disgrace' Households Have No Clarity Over Financial Support
The Alliance Party has said it is a "disgrace" households are still awaiting clarity about when they will receive financial support, despite energy price increases.
'Disgrace' Households Have No Clarity Over Financial Support
The Alliance Party has said it is a "disgrace" households are still awaiting clarity about when they will receive financial support, despite energy price increases.
01 July 2022
Energy Price Increases Leave Families Unable To Afford Heating
Energy price increases is going to leave families unable to afford heating, SDLP Communities Spokesperson Mark H Durkan has warned. Mr Durkan made the comment as the latest energy price rise came into effect across NI. It is estimated the price rises could add up to £375 onto the typical annual bill.
Energy Price Increases Leave Families Unable To Afford Heating
Energy price increases is going to leave families unable to afford heating, SDLP Communities Spokesperson Mark H Durkan has warned. Mr Durkan made the comment as the latest energy price rise came into effect across NI. It is estimated the price rises could add up to £375 onto the typical annual bill.
-
Northern Ireland WeatherThis Evening and Tonight:Any rain along the north coast soon clearing north to give a dry evening. Further rain will move south and east in the early hours, occasionally heavy. Remaining mild. Minimum temperature 8 °C.
